KARACHI, July 2: Trading on the cotton market on Tuesday was devoid of any special feature as spinners were conspicuous by their absence owing to TCP local tender for the sale of 50,000 bales.

According to market sources, most of the leading spinners and mills actively participated in the tender business and bid for the entire lots offered for sale.

The tender bids were opened in the afternoon in the presence of the representatives of buyers but the TCP rate committee will decide which offer to be accepted or rejected, possibly by tomorrow.

However, the market sources said the highest bid was Rs2,071 for 2,500 bales from a Punjab-based spinner for fine lots and the lowest was Rs1,927 depending on the quality of lint under sale. Some others spinners offered to buy a substantial quantity at rates between Rs1,955 to Rs2,016 per 40 kg.

“Any bid around Rs2,050 or slightly below is expected to be accepted as it is close to the average procurement price of the TCP,” one broker predicts.

He said from May and till mid-June the TCP had lowered its purchase prices from Rs1,855 to Rs1,555, the highest being Rs1,955 after it resumed operations to support the market and that was why any rate around Rs2,050 could match its overheads and ensure a modest profit on the current sales.

The TCP has also floated an international tender for the sale of 25,000 bales but prices offered by the foreign buyers were below its benchmark price as well as those of the world markets, dealers said.

As everybody was busy with the TCP sales, trading on the market remained insipid but is expected to get normal by Wednesday as spinners will be back, they added.

As a result, till late in the evening local brokers did not reports any deal but some Punjab ginners claimed they had sold several lots to the spinners at around Rs2,000 per maund on ready basis for prompt delivery.

It was in this background that the local official spot rates did not show any change for the last about a week. New York cotton futures on the other hand came in for active trade speculative selling and reacted from the two-year highs, off 1.50 and 1.98 cents per lb at 45.30 and 45.98 cents for both the ruling July and the new crop October settlements, respectively.